BofA’s Profit Tops Estimates on Trading, Net Interest Income
- Bank’s equity traders top expectations, with revenue up 10%
- Firm performs in ‘healthy but slowing economy,’ Moynihan says
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Bank of America Corp. traders reported their best third-quarter results in more than a decade while net interest income topped analysts’ estimates as the lender continues to reap the benefits of Federal Reserve rate hikes and volatile markets.
The firm’s fixed-income and equity traders trumped expectations, with stock-trading revenue up 10% to a record $1.7 billion. The quarter saw dramatic market swings, as the Fed’s push to quell inflation with higher interest rates helped traders. The windfall from trading helped Bank of America’s net income surge 10% to $7.8 billion, or 90 cents a share, topping analysts’ 81-cent estimate.